Research On Financial Performance Of Jiangxi W Real Estate Company

Since the 1990 s,with the continuous promotion of urbanization in China and the deepening and reform of the urban housing system,the real estate industry has become a pillar industry of the national economy and plays an irreplaceable role in improving people's living standards.,And has increasingly attracted wide attention from all walks of life,has also become a hot focus of economic research industry.However,with the continuous increase in the concentration of the real estate industry,the industry has loomed a pattern of oligopoly.And the living space of other small-scale real estate companies is being squeezed by these gradually formed oligopolists,which are facing operational pressures and the competitive pressure is also becoming increasingly fierce.Therefore,focusing on these small-scale real estate companies with a certain potential for development,and conducting research on their financial performance and exploring practical and effective methods to improve the operating level of such real estate companies will play an important role in promoting the healthy development of the real estate industry.Through the comparison of various mainstream financial performance evaluation methods in China,it is decided to use the entropy method to evaluate the financial performance of Jiangxi W Real Estate Company.When using this method to analyze the financial performance of the target company,the impact of subjective factors can be eliminated,making the evaluation result more objective.After analyzing and combing relevant concepts and theories,based on the analysis of the factors that influence the financial performance of real estate and the corresponding criteria for selecting indicators,as well as the accounting characteristics of real estate companies,the appropriate index groups were selected and improved,and the financial evaluation of real estate enterprises was constructed.Performance indicator system.Then,the entropy method was used to calculate the financial indicators of Jiangxi W Company from 2012 to 2016,and then the calculation results were analyzed.At the same time,30 real estate companies with similar scale were selected in the listed real estate companies.The data of the 2016 annual reports of the 31 companies were taken as samples,and the entropy method was used again to locate the financial performance of Jiangxi W Company in similar scale enterprises in the same industry.Combining the evaluation results obtained by the two together,you can not only grasp the trend of changes in the financial performance of the target company,but also understand the advantages and disadvantages of the target company in comparison with other companies in the same industry,and then find out where they exist.Problems and improvements.Combining the evaluation and analysis results of the two,the following conclusions are drawn:(1)Based on the results of comparative analysis of financial performance in the past five years,the financial performance of Jiangxi W Company from 2012 to 2016 has shown significant volatility due to policy changes.This shows that macro-control policies have a huge impact on W's sales.(2)Based on the results of the industry comparison analysis,Jiangxi W has a better overall financial performance in 2016,but its operating capacity is weaker than other companies.To sum up,Jiangxi W Company should improve its financial performance level,mainly from the point of improving its operating capability.At the same time,if W Company wants to continue to expand its scale,it must continue to improve in the other three dimensions.Based on the research conclusions,the following suggestions are made for Jiangxi W company to improve its financial performance:(1)Pay attention to cost control in terms of profitability,strengthen project feasibility analysis and project cost control;(2)Improve and improve corporate capital structure in terms of solvency,increase long-term liabilities and strengthen the supervision of the use of advances;(3)improve the efficiency of inventory turnover in terms of operating capacity,and rationally plan their own land reserves;(4)in terms of growth ability,we must comply with policies to increase the proportion of hardcover houses,Reasonable development of leasing business.The research results have certain guiding significance for Jiangxi W company to improve the financial performance level,and also have certain reference significance for other similar scale enterprises in the real estate industry.